Nissan retains its 2030 target for the end of internal combustion engine cars being sold despite UK reversing its U-turn on ending new ICE sales by then, pushing it back to 2035
Nissan will produce only electric vehicles in Europe by 2030 even though the UK has delayed phasing out the sale of new fossil-fuel powered cars.
“There is no turning back now,” CEO Makoto Uchida, speaking to the Japan Times. “We believe it is the right thing to do for our business, our customers and for the planet.”
The U.K. changed a planned ban on the sale of new petrol and diesel cars by five years to 2035 as the nation struggles to protect its auto industry from fierce competition. The move attracted criticism from Ford Motor, which said the transition to EVs would suffer as a result of the decision.
Nissan plans to launch 27 electrified vehicles, including 19 fully electric cars, by 2030. The Japanese company operates the U.K.’s biggest auto plant, in Sunderland, in northeastern England.
Nissan chairman for Africa, Middle East, India, Europe & Oceania Guillaume Cartier told reporters that cars made in Sunderland will meet European production requirements to avoid a 10% tariff post Brexit, where the UK left the European Union.
Nissan also previously said that by its fiscal year ending March 31, 2027, 98% of its sales in Europe would be electrified — meaning either fully-electric cars or hybrids, which combine a battery and combustion engine.
The new goal of going fully electric in Europe by 2030 brings Nissan in line with alliance partner Renault, which plans to make the Renault brand all electric by then.
Ford and Stellantis also plan to be fully electric in Europe by 2030. Volvo plans to sell only EVs globally by 2030.
Competition is growing across Europe as Chinese EV makers like BYD, Nio, Zeekr and Great Wall roll out new models. European Commission President Ursula von der Leyen has launched an inquiry into China’s financial support for its industry, which some in Europe says makes Chinese vehicles much cheaper than those built in Europe. China says it needs allowance for its less emission-friendly production methods.
Uchida told reporters that amid lower-cost competition from Chinese carmakers, Nissan is working to push down its own costs as it invests heavily in electrification.
“There’s a lot of competition happening … the Chinese (carmakers) are coming massively,” Uchida said. “The Chinese have moved much, much faster than we expected.”
Nissan could ramp up production at Sunderland if the U.K. government signs more trade agreements, according to Cartier.
The company would be able to export more cars to countries outside of the U.K. and Europe if such deals were in place, he said, and the company could more than double production from the 238,000 cars that were produced at Sunderland in 2022.
Uchida added: “If the market and industry cannot be competitive, how can we think about future investment?”